Malawi’s economic performance fate November 22

The second and third review of Malawi’s economic performance under the International Monetary Fund (IMF) supported Extended Credit Facility (ECF) programme is expected to be concluded on November 22 when the organisation’s executive board meets.

Joseph Mwanamvekha, Minister of Finance

21October

It will come clear on this day whether Malawi will receive new tranches under the three year arrangement pegged at K83.1 billion ($112.3 Million).

The ECF programme is aimed at enhancing macroeconomic stability and foster higher and resilient economic growth.

Speaking to local Journalists in Washington DC - America, Minister of Finance, Economic Planning and Development, Joseph Mwanamvekha and IMF’s Director for Africa Department, Abebe Selasie, confirmed about the meeting on Malawi.

Mwanamvekha said the meeting he had with IMF officials is a follow up on an earlier meeting he had with IMF Mission in Lilongwe last month.

“I am glad to say that we have had a successful meeting with IMF and that now the ECF programme is on track. I must say that the IMF has agreed that they will be submitting to their executive board on November 22 their recommendations to the Board,” said Mwanamvekha.

The Minister said the delegation expects the meeting by the IMF Executive Board to approve the release of more resources for Malawi comprising tranches from second and third review to support rehabilitation and reconstruction in the aftermath of Cyclone Idai and also preserve macroeconomic stability for the country.

Mwanamvekha appealed to IMF Executive Board to consider increasing the resources the country taps from IMF saying, “the resources Malawi taps from the fund is quite small and unpredictable.

“So we are asking through the executive director that as much as the economy is doing very well, we need to consolidate the gains that have been achieved so far,” he said.

On his part, Selassie hoped that the Executive Board will have a consideration for releasing extra funds to the country.

During the September review IMF highlighted that economic growth is expected to strengthen to about 4.5 percent in 2019.